Lenders Rev Their Engines

Surge in Demand for Auto Loans Spurs Push Into Sector; Subprime Is a Big Draw

By

Sharon Terlep and

Christopher Bjork

Updated Nov. 23, 2012 12:57 p.m. ET

The booming market for auto lending is causing deal makers to kick into high gear.

General Motors Co. on Wednesday said that it would buy the international operations owned by Ally Financial Inc. as part of a push to build up an auto-loan business after abandoning it six years ago. Spanish lender Banco Santander SA is planning to take its U.S. consumer-finance unit public in a deal that could value it at $6 billion, people familiar...